EUR/USD technical analysis: 1.1220 is the level to defend for bulls

EUR/USD charted a bearish engulfing candle on Wednesday.
The bearish engulfing candle makes today’s close pivotal.
A break below 1.1220 will likely invite stronger selling pressure.

Omkar Godbole FXStreet Contributor

EUR/USD jumped to a three-week high of 1.1307 in the US trading hours on Wednesday only to fall all the way back to 1.1220 by daily close.

Essentially, the common currency created a bearish engulfing candle on Wednesday.

A break below 1.1220 would validate Wednesday’s bearish engulfing candle and open the doors to retest of the recent low of 1.1116.

On the higher side, a daily close above the 100-day moving average resistance at 1.1272 is needed to revive the bullish view put forward by Monday’s descending triangle breakout.

As of writing, the spot is trading at 1.1232, having failed to secure a daily close above the 100-day MA in the previous two trading days.

Daily chart

Trend: Bearish below 1.1220

Technical levels

EUR/USD

Overview
Today last price	1.1232
Today Daily Change	0.0012
Today Daily Change %	0.11
Today daily open	1.122

Trends
Daily SMA20	1.1189
Daily SMA50	1.121
Daily SMA100	1.1277
Daily SMA200	1.1372

Levels
Previous Daily High	1.1307
Previous Daily Low	1.122
Previous Weekly High	1.1218
Previous Weekly Low	1.1116
Previous Monthly High	1.1266
Previous Monthly Low	1.1107
Daily Fibonacci 38.2%	1.1253
Daily Fibonacci 61.8%	1.1274
Daily Pivot Point S1	1.119
Daily Pivot Point S2	1.1161
Daily Pivot Point S3	1.1103
Daily Pivot Point R1	1.1278
Daily Pivot Point R2	1.1336
Daily Pivot Point R3	1.1365

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

AUD/USD jumps to 0.7050, fresh one-month top after hot Australian CPI

AUD/USD attracts buyers for the second straight day on Wednesday, rising to a fresh high since September 23 during the Asian session. A hot Australian CPI print reaffirmed bets for an imminent RBA rate hike in November and boosted the Australian Dollar. Meanwhile, the US Dollar pauses after a three-day rally to a near two-week high ahead of the crucial FOMC rate decision, lending additional support to the currency pair.

USD/JPY sticks to modest gains above 157.50 as traders await Fed, BoJ meetings

USD/JPY attracts buyers for the third straight day, recovering further from a one-month low ahead of Wednesday’s FOMC decision and the BoJ policy update on Friday. Meanwhile, expectations that the BoJ may hold off on aggressive rate hikes weigh on the Japanese Yen, and the US Dollar advances to a nearly two-week high, supporting the currency pair.

Gold comes under pressure, still above $4,000 ahead of FOMC

Gold now gives away part of its recent two-day rebound, although a breach below the key $4,000 mark per troy ounce remains elusive for now. Rising crude oil prices keep the precious metal under pressure ahead of the Fed’s interest rate decision later on Wednesday.

Zcash's bullish momentum mounts on steady ETF inflows, retail confidence

Zcash extends steady recovery above $1,300 on Wednesday, approaching a key resistance near $1,373. Grayscale’s ZEC-focused Exchange-Traded Fund sees persistent buying pressure, with six straight days of inflows, including more than $3 million on Tuesday.

Federal Reserve set to hold interest rates steady despite persistent inflation

The US Fed announces its Interest Rate Decision on Wednesday, following another pivotal meeting that could provide key insights into the bank’s monetary policy outlook heading into the end of the year.

Anthropic pledged $270 billion to Amazon, Google, and Microsoft. Here's who actually gets paid

Anthropic owes Amazon, Google, and Microsoft at least $269.4 billion for computing power, even if it uses less. All three sell its models and handle its billing, and Amazon and Google own stakes and lend it money, so they get paid regardless of how the IPO goes. The Dario Amodei-led Anthropic filed its initial public offering (IPO) on Monday, seeking a listing on the Nasdaq under the ticker ANT.